Question

how long will it take for Rs 5000 invested at the rate of 8% per annum simple interest to Rs 5200?​

Answer 1

Step-by-step explanation:

1 st year

Principal, P=Rs.5000

Time, T=1 year

Rate of interest ,R=6%

∴simple Interest, SI= PTR=

100

$\frac{5000 \times 10 \times 6}{100}$

=Rs.300

∴Amount=P+SI=Rs.5300

2nd year

Principal = Amount of 1st year=Rs.5300

Rate of interest =8%

Time =1 year

∴ Interest =

$\frac{5300 \times 1 \times 8}{100}$

=Rs.424

∴ Amount =Rs.(5300+424)=Rs.5724

The interest of 2nd year is the required compound interest. So, C.I=rs.424 and the required amount is Rs.5724